Cyprus new Investment Region
Written by JDPGlobal | Sunday, 17 July 2005
With an increasing number of buyers looking for investment alternatives, Cyprus seems to be becoming a leading European market for property investment. Property prices can be indicators of a robust market with strong growth potential. Property prices rose by 19 percent last year, driven by the popularity in Southern Cyprus. Cyprus is also tipped to join the EU in 2007 or 2008, an additional benefit.
Along with an increase of buyers expected to move to the island and a boost in holiday letting, value increases of as much as 40 percent have been forecasted.
Buy-to-let investors are expecting 75 percent returns, while rental yields sit pretty at 9 percent. With a twelve month market, Cyprus is now forecasted to become increasingly popular. According to recent data the average house price in Cyprus currently stands at £98,500 which is substantially lower than prices in the United Kingdom. The average price in the UK is £155,000.
Bulgaria is also experiencing a property boom which some see as a potential rival to Cyprus. Property experts have issued warnings to people who want to cash in on the young market, as the growth is dependant on the very low interest rates, which have to now rise to cool down the market.
